Hi, I use Intuit's Payroll to pay my nanny. As part of that service, I have been paying all taxes via 941 forms. Do I still need to do a Schedule H?

[PatriciaV]

If you've already paid your employer taxes by form 941 and 940, you are not required to complete Schedule H.

Include Schedule H with your personal tax return ONLY if you owe unpaid taxes on the wages you paid to Household Employees.

However, if you still wish to include Schedule H with your personal tax return, follow these steps for reporting the tax you paid on behalf of your household employees.

1. Click on Federal Taxes (Personal in TurboTax Self-Employed), then choose Other Tax Situations.
2. Under Additional Tax Payments, click Start beside Nanny and household employee tax (see screenshot below - click to enlarge).
3. Follow the prompts to report the taxes related to your household employee.

[tvsotelo]

I was just told today by the Tax Law Department of the IRS that this is WRONG information.  They said that a household employer should report and pay taxes with the 1040 and not with the 941.  I am spending my whole day fixing this problem that was generated by Intuit in the first place.  Wish I had never followed their advice.

[ragone12]

So what is the verdict on this?  If you use a payroll service and they pay the quarterly taxes do you have to submit the schedule H information in your taxes?

[Zoraho]

Yes, you have to submit the schedule H.